Council gives final green light to strengthen farmers’ position in the food supply chain
The Council today adopted new rules to improve farmers’ position in the EU food supply chain, ensuring they receive a fairer share of value by strengthening their negotiating power vis-à-vis buyers such as processors and retailers.
The changes also aims at promoting fair contracts and strengthening producers organisations.
The reform introduces targeted amendments to the regulation on the common market organisation (CMO) of agricultural products, alongside complementary changes to the common agricultural policy (CAP).
Strengthening farmers’ bargaining power
The new rules make written contracts standard and include review clauses to reflect market changes. They also simplify the recognition of producer organisations and support their collective action, including through CAP funding.
Harmonised rules are introduced for voluntary marketing terms such as ‘fair’ and ‘short supply chain’ to improve transparency.
Clear rules on product designations
The legislation strengthens protection of the term ‘meat’, reserving it for animal-based products, and sets clearer rules to prevent misleading marketing and ensure fair competition.
Addressing farmers’ concerns
The measures respond to concerns about farmers’ weak position in the supply chain. They complement existing rules on unfair trading practices and aim to improve income stability and value distribution.
Next steps
The act will now be signed and published in the Official Journal of the European Union, after which it will enter into force. Some changes, particularly those concerning meat designations, will start to apply after a three-year transition period, to give the industry time to adapt.
